What is Medical Insurance Subrogation? With Finney Injury Law
You have heard me use the word subrogation. Subrogation is when you open a claim with either medical insurance, car insurance or any type of third party that has paid something for someone else’s negligence. So what does that mean?
So let us say I have insurance, I’m in an accident. When I go to the emergency room, I give them my insurance card for my health insurance. Well, they bill whoever that provider may be. Once that provider is billed and they see the reason that I went to the hospital was for a motor vehicle accident, they’re going to send me a letter saying ”hey, we want you to pay me back the money that we paid for your accident because we know it wasn’t your fault and it wasn’t caused by a natural thing.”
For example, I fell out of a tree and broke my arm. Well, obviously that was something that I did because I should have been climbing the tree but they’re going to pay for it. But, if somebody else’s negligence caused injury to you and your insurance company’s paying for it, they want to hold that third party liable for it. So what happens?
When you come in to see us, I’ll ask you for your insurance card. I’ll call whoever that carrier is and say, “Hey, I want to start a subrogation on part of Jane Doe.” So, Jane Doe’s insurance company will then send me a letter saying that they(client) went to the hospital on January 1st, 2020, we paid X amount of money so this is what we should get paid.
So when that happens, we’ll put that in a lien section, which we’ll promise to pay them at the end of your settlement. When that happens, the hospitals will also try to collect money on the full bill but we know that they have already been paid through your health insurance.
It’s a very sticky world out there with insurance companies and hospitals but that’s why you have us. We will help kind of navigate the subrogation. So your insurance companies, they will get paid at the end. They will have an amount of; let’s say $5,000 that they’ve paid for your medical services.
That is something that we try to make sure that after your case is settled, you do not have to worry about these weird letters that you get in the mail saying from people like Medicaid, Medicare, whatever your health insurance is saying, “hey, we paid for this, can you pay us back?” You are going to be like, well Kimberly, I thought this was paid for. Well, we will take care of that here at Finney Injury Law. We will make sure that you guys don’t have the hassle of what the subrogation process is.